Targeting wealthy investors looking for a safe
investment, upscale London department store
Harrods is now selling bars of pure Swiss gold
bullion and coins displayed in a miniature
vault.

Selling gold during a recession? Harrods
believes the strategy makes a lot of sense. The
dollar and pound are weak, interest rates are
low, and markets are jittery. Gold prices, in
contrast, recently hit a record high of $1,072
an ounce. And for wealthy investors, who
comprise the luxury store’s core clientele, gold
represents one of the few remaining safe havens.

A full-sized 12.5-kilogram bar (around 27.5
pounds) costs about $466,000 based on Oct. 15
prices. Harrods will sell a range of gold
including coins, small one-gram gold bars, and
the more substantial 12.5-kilogram bars. Harrods
says it made a number of high-value sales the
first day the gold range was introduced on Oct.
15.

But as any serious shopper knows, don’t expect a
bargain at Harrods. The store says its premium
on Krugerrand gold coins is currently set 11%
above spot price—more than twice the average
mark-up already paid by retail investors using
typical U.S. and European coin dealers.